The move is also part of the government's plan to achieve a sustainable development through the adoption of green technology, said Assistant Tourism, Culture and Environment Minister, Datuk Bolkiah Hj Ismail.
He also said the Government is looking into more development plans that are environmentally friendly and the prioritisation of such methods by industrial developers so as not to hurt the environment.
"Under the Ministry welcome such effort and the government could save up to 75 per cent through the use of green technology via LED lights.
This is compared to conventional lights," Bolkiah said on Monday.
He said these during the pre-qualification registration and consulting service on the use of LED lights to contractors organised by Realkey Solutions Sdn Bhd (RSSB).
He said the adoption of green technology would also benefit the next generation and was one way companies could expand their business internationally.
RSSB Chief Executive Officer, Dato' Norazmi Abas, meanwhile, said: "The Federal government will roll out the budget on the installation of LED lights nationwide."
"Soon state governments, agencies and departments may also receive a huge allocation to phase out conventional lights."
He said the installation of LED lights will also involve the Public Works Department street lights and lighting in the Ministry of Health.
"LED lights would be one of the first steps that the State Government will take towards the adoption of green technology. Such adoption would also help the nation reduce carbon emission," he said.
He said, meanwhile the replacement of conventional lights into LED lights by 2014 will involves long-term jobs for contractors.
"To date we have enough qualified contractors in the peninsula.
About 500 contractors. However, we are short of qualified contractors here.
"We are looking for vendors (contractors) here to do the job here.
This is a long-term job and also an opportunity for local contractors to learn about the technology," he said.
Light Emitting Diode (LED is a semiconductor light source.
LED is used in indicator lamps in many devices and are increasingly used for other types of lighting.